Deputy Prime Minister Lawrence Wong said at the 2024 Budget that retrenched workers will get financial support.
He said the government will introduce a temporary financial support scheme for those who are involuntarily unemployed while they undergo training or look for jobs that are a better fit.
This was after the number of retrenchments in 2023 was more than double that of 2022, from 6,440 to 14,320.
However, the scheme has to be designed “carefully”, Wong said.
This is to avoid the pitfalls that other countries experienced when they introduced unemployment benefits.
DPM Wong added: “Those who become involuntarily unemployed naturally feel the pressure to rush into the first available job they find, but the new job may not always be a good fit.”
More details will be announced later this year.
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